Council OKs waterfront delay: If advisory committee agrees, Dickinson will get 15 more months to find investors

By Michelle Kingston

mkingston@fosters.com

fosters.com

By Michelle Kingston

mkingston@fosters.com

Posted Feb. 14, 2013 at 3:15 AM

By Michelle Kingston

mkingston@fosters.com

Posted Feb. 14, 2013 at 3:15 AM

DOVER — Cocheco Waterfront Development Advisory Committee chair Jack Mettee said during Citizens’ Forum at the city council meeting Wednesday night that the waterfront development projects reminds him of a quote by Lao-tzu: “A journey of a thousand miles begins with a single step.”

After nearly 10 years of discussing, voting and planning, the waterfront development project may be closer to breaking ground now after the City Council approved to support amending the Land Disposition Agreement between the developer, Mark Dickinson, and the city on Wednesday night.

The councilors voted to give Dickinson an additional 15 months to line up investors for the project. This amount of time will begin once CWDAC approves the concept adjustments to the LDA. Once Dickinson lines up his investors, the extension payments of $10,000 that he owes the city for each month he does not break ground — which Dickinson is not currently paying — will begin again.

These extension payments are nonrefundable and are to be made, according to the amendment, “until closing (with investors) and start of construction occurs.”

Dickinson delivered these payments to the city from August until November, but told CWDAC and the councilors in December he had invested more than $1 million in the project already and was no longer going to pay the extension payments. He said he would deliver a $25,000 non-refundable payment in lieu of the extension payments until he lined up his investors. The LDA stated that after three years of planning, if he still did not have investors, he would have to pay these extension payments.

The city has previously received $40,000 in extension payments, one for August, September, October and November. Between these, a $25,000 non-refundable payment Dickinson will make in lieu of the extension payments between now and the time he lines up investors, and the $100,000 in escrow Dickinson will give to the city if he does not land the investors, the city will walk away with $165,000 if Dickinson is unable to comply with the amendment.

This money would not have been available if it were not for the amendment and according to Crago, Dickinson “would’ve walked away with having lost over $1 million he had invested in our city’s vision.”

According to the councilors Wednesday night, the money Dickinson has invested shows his dedication to the waterfront.

“I’m not very excited about the fact that we had to come to this point, but I do know one thing and that is that the developer, in good faith to the contract, was willing to step away and that takes a lot,” Councilor Catherine Cheney said of Dickinson when his three years were up in the LDA and he was still without investors.

“If this man and his company can find what it takes to produce what we have all been waiting for, then this is the person for the job right now,” Cheney said.

Deputy Mayor Robert Carrier looked at Dickinson, who was sitting in on the council meeting and told him he was going to do a fine job on the project and that he thinks he is the right person for the job.

“I believe in you,” Carrier said.

Mettee, Mark Moeller, vice chair of the Dover Housing Authority and Dover’s Director of Economic Development, Dan Barufaldi, all spoke during Citizens’ Forum and urged the councilors to support the amendment.

“I believe that this vote to approve the resolution will really be the spring board we need to get the waterfront development process moving forward again,” Mettee said.

Barufaldi added, “It is the best thing for Dover,” and said it “will keep the momentum going” for the growth in the downtown and “be an anchor” for other developers interested in the city.

Dickinson walked out of the meeting very pleased with the councilors unanimous vote to support the amendment.

“I do know what I am doing,” he said. “I’m a confident and experienced guy. I believe I can get this done. I just needed time to reframe the project a little bit.”

Dickinson said “minor” changes and adjustments to the concept plans have been made. As reported earlier in Foster’s, Crago said the plans now show 200 units instead of 100 units of condominiums.

Dickinson said these changes make the project more appealing to investors.

During the council meeting, Crago did correct himself one on adjustment to the amendment that is not accurate, which he stated previously. Dickinson will not be responsible to complete the $2.5 million park and a nearby facility if he does not line up investors.

The amendment will be referred back to the CWDAC for approval at its next meeting.